Volterra: The New Maxim, TI, Or Intersil For Apple?

Volterra Semiconductor Corporation VLTR is a recommended Buy from Jefferies because of its potential significant revenue growth, due to Jefferies' checks that "suggest Volterra recently engaged with Apple AAPL for the first time as Apple is not satisfied with its current supplier base of Maxim MXIM($17.38, Hold), TI TXN($25.80, Buy), and Intersil ISIL($11.17, Underperform). Our checks suggest Apple switched to Maxim for the VCore in its Huron River Macbooks (~$3MM rev/qtr) after prior stumbles by TI (Calpella) and Intersil (Montevina) but now has to wait for a respin of the Maxim part after it did not meet spec. Our checks suggest Volterra will initially compete starting with the POL sockets (currently Intersil) in Apple's Ivy Bridge refresh (early 2012), which we estimate is a $10-15MM/qtr opportunity." Jefferies maintains its Buy rating and $27 price target. Volterra Semiconductor Corporation closed yesterday at $21.16.